Vietnam Exchange May Remove Observation on Loss-making Cos
The State Securities Commission (SSC) said it would consider allowing the Ho Chi Minh Stock Exchange (HOSE) to stop putting loss-making companies last year into the watchlist and issue cautionary warnings about their shares to investors instead.
The warnings will be even removed immediately if the firms make profit in the first quarter of this year, the SSC said.
“It’s quite tough for enterprises to be disgraced for an entire year, especially in a market which is still governed by psychology and minimal information, although the observation is just in name, not in fact,” said an unnamed official from SSC.
The regulation is expected to be issued at the end of March.
To date, the HOSE has put special surveillance on 15 listed firms which suffered big losses last year, including such bluechips as REE, SAM, GMD, PPC. (Vietnam Economic Times)
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